The government paying for your output which has nowhere to go is not a flourishing industry.
If my kid starts a lemonade stand and I pay him $500 to dump 20 gallons of lemonade into the sewer, did he run a successful business for a day?
Look into the Chinese ghost cities or US and EU actions against Chinese metals dumping.
https://en.wikipedia.org/wiki/Underoccupied_developments_in_...